These Dividend Stocks Are Best In Class
Cincinnati Financial is one of companies on my list of top dividend stocks. Dividend stocks are a safe bet to increase your portfolio value as they provide both steady income and cushion against market risks. Dividends can be underrated but they form a large part of investment returns, playing an important role in compounding returns in the long run. As a long term investor, I favour these great dividend-paying stocks that continues to add value to my portfolio.
Cincinnati Financial Corporation (NASDAQ:CINF)
Cincinnati Financial Corporation provides property casualty insurance products in the United States. Formed in 1950, and currently run by Steven Johnston, the company provides employment to 4,925 people and with the company’s market capitalisation at USD $11.73B, we can put it in the large-cap category.
CINF has a good-sized dividend yield of 3.01% and their current payout ratio is 40.96% , and analysts are expecting the payout ratio in three years to hit 63.98%. CINF’s dividends have seen an increase over the past 10 years, with payments increasing from US$1.56 to US$2.12 in that time. Much to the delight of shareholders, the company has not missed a payment during this time. The company outperformed the us insurance industry’s earnings growth of 9.88%, reporting an EPS growth of 34.60% over the past 12 months. Dig deeper into Cincinnati Financial here.
Omnicom Group Inc. (NYSE:OMC)
Omnicom Group Inc., together with its subsidiaries, provides advertising, marketing, and corporate communications services. Formed in 1944, and currently headed by CEO John Wren, the company provides employment to 77,300 people and with the market cap of USD $16.80B, it falls under the large-cap stocks category.
OMC has a solid dividend yield of 3.26% and their payout ratio stands at 47.92% . OMC’s dividends have seen an increase over the past 10 years, with payments increasing from US$0.60 to US$2.40 in that time. They have been consistent too, not missing a payment during this 10 year period. Dig deeper into Omnicom Group here.
Energy Transfer Equity, L.P. (NYSE:ETE)
Energy Transfer Equity, L.P. provides diversified energy-related services in the United States. Established in 2002, and now run by John McReynolds, the company now has 29,486 employees and with the company’s market capitalisation at USD $16.97B, we can put it in the large-cap group.
ETE has a great dividend yield of 7.72% and the company has a payout ratio of 115.21% . In the case of ETE, they have increased their dividend per share from US$0.44 to US$1.22 so in the past 10 years. They have been dependable too, not missing a single payment in this time. Analyst estimates for Energy Transfer Equity’s future earnings are certainly promising, predicting a triple digit earnings growth over the next three years. More detail on Energy Transfer Equity here.
For more solid dividend paying companies to add to your portfolio, explore this interactive list of top dividend payers.
To help readers see pass the short term volatility of the financial market, we aim to bring you a long-term focused research analysis purely driven by fundamental data. Note that our analysis does not factor in the latest price sensitive company announcements.
The author is an independent contributor and at the time of publication had no position in the stocks mentioned.
